Weekend Portfolio Analysis (March 14, 2015)

Market Conditions This week the market traded down again with the SPX opening the week at 2072.25 and closing Friday at 2053.4, down 18.85 or 0.9% on the week. During the week, traders experiences a lot of two-sided action with the SPX moving 10-30 handles every day. Much of the pull-back in equities is attributed…

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Trading Mentors

Trading systems that will make you wealthy overnight are ubiquitous on the internet. Just try doing a search on “options trading system” and you will find that there are a staggering 26,800,000 search results! It should come as no surprise that many, if not most, of these websites are scams that extort money from their customers…

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Trading High Volatility

Today I placed two trades during the day to take advantage of the increase in volatility. At 10:30am this morning, it was reported that weekly crude oil inventories increased by 4.51 million barrels, slightly less than analysts estimates. Just before the announcement, the price of crude oil dropped abruptly as can be seen in this…

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Weekend Portfolio Analysis (March 7, 2015)

Market Conditions This week the market traded down with the SPX opening the week at 2105.23. It closed at an all-time high of 2117.39 on Monday and then trended lower ending the week on Friday at 2071.26, down 33.97 or 1.6% for the week. Data released Friday morning reported that Non Farm Payrolls grew by…

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The Basics: Option Exercise, Assignment & Expiration

As an options trader, it is important to understand the basics of exercise, assignment and expiration, especially if you are short options. Options have standard expiration dates. Monthly equity options expire on the third Friday of its expiration month. This is also the last day that they can trade.  If Friday is a holiday, the…

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